The Board has been requested,
in accordance with section 229.20(d) of Regulation CC (12 CFR 229),
to determine whether the Expedited Funds Availability Act and subpart
B, and, in connection therewith, subpart A, of Regulation CC, preempt
provisions of Illinois law relating to the availability of funds.
Section 4-213(5) of the Uniform Commercial Code as adopted in Illinois
(Illinois Revised Statutes chapter 26, paragraph 4-213(5), enacted
July 26, 1988) provides that—
Time periods after which deposits must be available for
withdrawal shall be determined by the provisions of the federal Expedited
Funds Availability Act (Title VI of the Competitive Equality Banking
Act of 1987) and the regulations promulgated by the Federal Reserve
Board for the implementation of that Act.
Section 4-213(5) of the Illinois law does not supersede
Regulation CC; and, because this provision of Illinois law does not
permit funds to be made available for withdrawal in a longer period
of time than required under the act and regulation, it is not preempted
by Regulation CC.
